SOL Price Forecast: Expert Predicts 50% of ETH’s Market Cap

Solana (SOL) Resurgence and Market Outlook

Solana (SOL), currently the fifth largest cryptocurrency, experienced a substantial revival over the recent weekend, in tandem with the broader market rally sparked by Bitcoin’s (BTC) climb towards the $63,000 threshold, a level not seen in over a week.

SOL’s price has successfully rebounded from recent months’ lows, surpassing $150 and overcoming key resistance levels. Daniel Cheung, co-founder of Syncracy Capital, expressed optimism about SOL, noting similarities in fractal patterns reminiscent of the third quarter of 2021, which could lead to significant gains.

Potential Gains Ahead for SOL

In a social media update, Cheung shared bullish sentiments on SOL’s recent performance, comparing it to its rise in late 2021 when it surged from $27 in July to its peak of $259 in November. Drawing parallels to the fourth quarter of 2020, Cheung predicts that substantial returns may be imminent in the latter half of the year.

• Cheung highlighted Solana’s attractiveness to retail investors, positioning it as a key player in on-chain activities throughout this market cycle.
• Anticipation surrounding a potential Solana exchange-traded fund (ETF) and political developments, such as the possibility of Trump’s re-election, could further boost SOL’s ecosystem.

Solana Market Cap Projections

Cheung projects that the Solana ecosystem could potentially reach 50% of Ethereum’s market capitalization in this cycle, driven by increasing optimism in its blockchain capabilities.

Currently, SOL holds a market cap of $71 billion, significantly lower than Ethereum’s $403 billion. According to Cheung’s analysis, achieving 50% of Ethereum’s market cap would propel SOL’s market capitalization to approximately $280 billion, potentially leading to new all-time highs.

While the outcome hinges on regulatory developments, including potential legislative changes under a Trump administration and the approval of a Solana ETF, SOL is currently trading at $152, reflecting a 6% increase in the last 24 hours and a remarkable 438% year-to-date.